DGAP-News: Aurubis AG: Aurubis and SMS to cooperate in construction of multimetal recycling plant in Georgia (US)

Press Release

Aurubis and SMS to cooperate in construction of multimetal recycling plant in Georgia (US)

- Aurubis and SMS sign a contract regarding the planning, delivery, and assembly of the main facilities for the new Aurubis plant in the US

- Construction of Aurubis Richmond to start in summer 2022, commissioning planned for first half of 2024

- Aurubis and SMS sign an additional cooperation agreement for collaboration in the longer term

Hamburg, November 26, 2021 - Aurubis AG and the SMS group, based in Düsseldorf, signed a contract today for the construction of a multimetal recycling plant in the United States. As Aurubis announced on November 10, construction of the new Aurubis recycling plant will start in mid-2022 in Augusta (Richmond County) in the state of Georgia. Upon commissioning (scheduled for the first half of 2024), the plant will process about 90,000 t of complex recycling materials annually. Aurubis is creating over 100 jobs in the region as well.

With the agreement, the two companies agree to work closely together on the greenfield project Aurubis Richmond, with the SMS group planning the facility concept, delivering it, and implementing it on site. Moreover, the SMS group is delivering the technology for the top-blown rotary converter (TBRC), a state-of-the-art piece of equipment for processing complex recycling materials to recover copper, nickel, tin, zinc, precious metals, and platinum group metals. The scope of delivery also includes the sampling and off-gas cleaning facilities. Both partners are contributing their expertise to the construction of the modern recycling site to optimally fulfill the requirements of a sustainable circular economy.

Aurubis and the SMS group also signed a cooperation agreement. With this long-term collaboration, both partners intend to be able to quickly implement the planning, construction, and development of additional modular recycling facilities in Europe and North America in the case of a positive investment decision from Aurubis. The construction of Aurubis Richmond is therefore the starting point of this partnership in the multimetal recycling sector - and the project's success points the way ahead for both partners from a strategic perspective.

"With the investment in Aurubis Richmond, we reinforce our ambitions to continue expanding the recycling of complex, valuable metal-bearing materials and returning them to the material cycle. The SMS group is an extremely competent partner for the setup of the site, a partner that will support us in implementing custom-fit solutions for ecologically sustainable business activity and accelerated decarbonization," emphasizes Hans Rosenstock, Managing Director of Aurubis Richmond.

"We're pleased to bring the state-of-the-art recycling plant in Richmond to life, together with Aurubis. In addition to technological expertise, we're united as partners by our strategic orientation toward continued growth in the circular economy and the recycling business, as well as contributing to climate protection with new technologies. Furthermore, our intelligent and efficient digital concepts enable us to optimize the production processes. This modular facility sets new international benchmarks in recycling electronic scrap and is planned for additional sites as well," says Michael Rzepczyk, member of the management at SMS.

Tapping a new market in multimetal recycling in the US

With the construction of Aurubis Richmond, Aurubis is tapping a market with strong growth potential and expanding its international integrated smelter network. The investment of about € 300 million also contributes to the company's ambitious sustainability targets. The Group expects Aurubis Richmond to generate an annual contribution to earnings of about € 80 million EBITDA at full production capacity starting in fiscal year 2025/26.

In the first-ever secondary smelter for multimetal recycling in the United States, circuit boards, copper cable, and other recycling materials containing metals will be processed into 35,000 t of blister copper annually. Aurubis will further process the intermediate products into various industrial and precious metals at its European smelter sites to a great extent, but also sell them directly in the US market.

Aurubis - Metals for Progress

Aurubis AG is a leading global provider of non-ferrous metals and one of the largest copper recyclers worldwide. The company processes complex metal concentrates, scrap metals, organic and inorganic metal-bearing recycling materials, and industrial residues into metals of the highest quality. Aurubis produces more than 1 million tons of copper cathodes annually, and from them a variety of products such as wire rod, continuous cast shapes, profiles, and flat rolled products made of copper and copper alloys. Aurubis produces a number of other metals as well, including precious metals, selenium, lead, nickel, tin, and zinc. The portfolio also includes additional products such as sulfuric acid and iron silicate.

Sustainability is a fundamental part of the Aurubis strategy. "Aurubis responsibly transforms raw materials into value" - following this maxim, the company integrates sustainable conduct and business activities into the corporate culture. This involves a careful approach to natural resources, responsible social and ecological conduct in everyday business, and sensible, healthy growth.

Aurubis has about 7,200 employees, production sites in Europe and the US, and an extensive service and distribution system in Europe, Asia, and North America.

Aurubis shares are part of the Prime Standard Segment of the German Stock Exchange and are listed in the MDAX and the Global Challenges Index (GCX).

Further information at www.aurubis.com

SMS group - Leading Partner in the World of Metals

SMS group is renowned worldwide for its future-oriented technologies and outstanding service for the metals industry. The company applies its 150 years of experience and its digital know-how to provide the industry continuously with innovative products and processes - even beyond its core business - and generates worldwide sales of more than 2.7 billion euros. SMS is the right partner for challenging projects, and supports its customers throughout the lifecycle of their plants, enabling profitable and resource-efficient value creation chains. Paving the way for a carbon-neutral and sustainable metals industry is the company's stated goal. As a global player with German roots, SMS takes responsibility for its about 14,000 employees.

Further information at www.sms-group.com